The idea is a good one, but I agree that it falls short in offering a specific benefit to a specific - and limited - class of individuals. This could (I hope it does not) backfire on them as other employees may feel like they are missing out on something. I agree with the idea of offering the buy-back option instead.

I appreciate companies that look for ways to incent their employees. I also work for an excellent organization that takes care of its people. I have great incentive to stay when I look at the intangibles I may have to give up by going somewhere else - there is a decided focus on work-life balance here which is my personal top priority. Our CEO recently released a book on this very subject ("Take Care of Your People", Paul Sarvadi - CEO, Insperity). I haven't yet finished it, but I can say he 'practices what he preaches'.

As for Unum, it sounds like a clever hiring move. This may be the deciding factor to attract fresh, new talent to their organization over another, and would be particularly appealing to recent graduates.